IRICA Denies Gaining From FX Surcharge on Imports

EghtesadOnline: The Islamic Republic of Iran Customs Administration has denounced claims that it intends to generate revenues by levying foreign exchange rate difference surcharge on imports.

News ID: ۷۴۵۹۶۳

03 September 2018

“The policy was adopted by the Cabinet and its implementation was delegated to the Consumers and Producers Protection Organization. In this case, IRICA is just an administrative organ and won’t receive a single rial,” IRNA quoted a statement by the customs administration as saying.

Under Clause V of the government’s new foreign currency policy, goods imported after the implementation of the new policy on August 7 could receive customs clearance only if their owners paid the surcharge on exchange rate difference between the government’s subsidized forex rate (42,000 rials per dollar) at which they registered their import orders and the forex rate determined by the Secondary Forex Market.

An increasing number of consignments have piled up at customs terminals of major Iranian ports, without being claimed by their owners since the government unveiled the controversial Clause V, according to Financial Tribune.

Facing a rising tide of criticism from traders and their representatives in the parliament, the government introduced new amendments to Clause V: the surcharge was set at 28,000 rials and a list of import items that could enjoy the exemption from paying the surcharge was released. It also noted that importers who fail to pay the surcharge will be introduced to the ‘Tazirat’ organization (a judiciary-affiliated oversight body dealing with trading offenses) and might face the risk of not receiving foreign currency for future imports.

The list of items exempt from surcharge include 3,479 items categorized within the three main groups of “Machinery and Equipment”, “Raw Materials for Production” and “Raw Materials of Pharmaceuticals and Medical Equipment”.